Band A: NERC Vows To Enforce 20-Hour Power Supply Rule, Sanction Defaulting DisCos

The Nigerian Electricity Regulatory Commission (NERC) has reiterated its commitment to enforcing the 20-hour minimum daily power supply for Band A customers.

To this end, it promised strict monitoring, automatic compensation for service failures, and a gradual expansion of improved supply to other customer bands.

NERC officials disclosed this while featuring on Electricity Town Hall, a radio programme, sponsored by the commission.

They spoke on Service-Based Tariff (SBT) in the Nigerian Electricity Supply Industry (NESI).

Speaking, a Principal Manager in NERC’s Economic Regulation Division, Olisa Chukwuma, said the framework was designed to align customers’ experiences with the tariff they pay.

He said: “The Commission designed this framework to ensure that what customers pay corresponds with the level of service they receive. The foundation of this policy is the availability of infrastructure to serve people.

“That’s why customers were classified into five broad categories, Band A guarantees a minimum of 20 hours of supply daily, Band B 16 hours, Band C 12 hours, Band D 8 hours, and Band E 4 hours.”

Chukwuma stated further that while the band structure was introduced in 2020, public interest only grew in 2024 when the differences between Band A and other categories became more apparent.

He also encouraged customers to verify their service bands through their electricity distribution companies’ (DisCos) websites.

“It’s now mandatory for all DisCos to have a portal where customers can input their meter or account numbers to see their feeder details and service band. This ensures transparency and helps customers monitor whether they’re getting the supply hours they’re entitled to.”

On his part, a Senior Manager in NERC’s Economic Regulation Division, Abdulaziz Aloba, said the Commission tracks DisCos’ performance daily and applies sanctions where necessary.

“If you’re a Band A customer, you are expected to get an average of 20 hours of supply daily in a month. Where a DisCo fails to meet that, customers are automatically compensated.

“If such failure persists for over seven days, that feeder is downgraded to the appropriate band that reflects the actual supply received”, he said.

He explained that NERC monitors power delivery using data from multiple sources, including the Nigerian System Operator (NSO) and Market Operator (MO), in addition to independent verification by the Commission.

In his contribution, a Deputy Manager in the Economic Regulation Division of the commission, Gbenga Osho, explained that customers can request migration to higher bands where infrastructure permits.

“Customers who want improved service can make formal representations to their DisCos and may copy the Commission for transparency. But migration is subject to available infrastructure. Service levels are tied to investment capacity, not just customer preference”, he said.

Also speaking, a Deputy Manager in NERC’s Stakeholder Management Division, Simon Sunday, explained that the Commission approves band classifications only after verifying that DisCos have adequate infrastructure to deliver the required minimum hours.

He said: “Before we approve any Band A feeder, we ensure that the distribution company has the capacity to provide at least 20 hours of supply daily.

“For instance, a DisCo may apply for approval of 1,000 feeders, but after our review, we might only approve 500 based on actual infrastructure readiness.”

He noted that while Band A customers currently pay a tariff of ₦209.50 per kilowatt hour, the Commission continues to review tariffs monthly based on macroeconomic indicators such as inflation, foreign exchange rates, and generation costs.

“When the Band A tariff started in April 2024, it was ₦225 per kilowatt hour. It was later adjusted downward to ₦209.50, and it has remained stable for almost a year due to government subsidy management.

“The goal is not to punish customers but to ensure fair pricing that reflects service quality”, he said.

Sunday, however, assured that the ultimate goal of the service-based tariff is to extend premium power supply to all Nigerians.

“We don’t want a two-class electricity system. Every Nigerian deserves reliable power. Our aim is to gradually migrate all customers to higher service bands as infrastructure improves,” he stated.